The Indian luxury car market is undergoing a major shift with the introduction of GST 2.0. This reform has reduced the tax burden on passenger vehicles, making high-end models more accessible to buyers. The biggest impact can be seen in Mercedes Benz car prices after GST rate revision, where ex-showroom prices across sedans and SUVs have dropped significantly.
For Indian buyers, this change means luxury ownership is no longer as far-fetched as before. Lower GST rates improve affordability and allow buyers to explore models like the C-Class, E-Class, or even premium SUVs such as the GLE and GLS at reduced prices.
However, luxury ownership also demands smart financial planning. A car loan is an ideal solution to manage on-road costs, which include RTO fees, registration, and insurance. The Bajaj Finserv New Car Loan stands out by offering up to 100% financing of the on-road price, competitive interest rates, extended repayment tenures, and flexible EMI options. With minimal paperwork and quick disbursals, it ensures your dream Mercedes Benz is within reach.
Want to skip the wait? Check your pre-approved new car loan offer today and fast-track your luxury purchase.
What are the revised GST slabs for Mercedes Benz cars
Customers can now enjoy savings of up to 13% depending on the model. Below are the revised GST slabs for passenger cars:
| Type of vehicle | Old GST slab (including cess) | New GST rates | Savings |
|---|---|---|---|
| Sub-4 metre (Petrol) | 29% (28% GST + 1% cess) | 18% | 11% |
| Sub-4 metre (Diesel) | 31% (28% GST + 3% cess) | 18% | 13% |
| Cars over 4 metres in length with engine capacity up to 1,500cc | Up to 45% (28% GST + 17% cess) | 40% | 5% |
| SUVs (above 4 metres in length with engine capacity exceeding 1,500cc) | Up to 50% (28% GST + 22% cess) | 40% | 10% |
This change has had a significant impact on premium sedans and SUVs, reducing the overall cost of popular Mercedes Benz models.
Expected cost of Mercedes Benz cars base model post tax cuts
| Car | Old GST slab (GST + cess) | New GST rate | Expected price drop (approx.) |
|---|---|---|---|
| Mercedes-Benz A-Class Limousine | Up to 45% | 40% | 5% |
| Mercedes-Benz C-Class | Up to 45% | 40% | 5% |
| Mercedes-Benz E-Class | Up to 45% | 40% | 5% |
| Mercedes-Benz S-Class | Up to 50% | 40% | 10% |
| Mercedes-Benz GLA | Up to 45% | 40% | 5% |
| Mercedes-Benz GLC | Up to 50% | 40% | 10% |
| Mercedes-Benz GLE | Up to 50% | 40% | 10% |
| Mercedes-Benz GLS | Up to 50% | 40% | 10% |
| Mercedes-Maybach Models | Up to 50% | 40% | 10% |
| Mercedes-AMG Models | Up to 50% | 40% | 10% |
Mercedes Benz car prices after GST rate change in India: With effect from September 22, 2025, Mercedes-Benz India has reduced prices across its petrol and diesel lineup. Buyers can now save between Rs. 1.6 lakh and Rs. 25.65 lakh depending on the model.
For example, the A-Class Limousine is now cheaper by up to Rs. 2.6 lakh, the C-Class by Rs. 3.7 lakh, and the E-Class by Rs. 5.25 lakh. In the flagship segment, the S-Class is down by Rs. 11 lakh. SUVs like the GLA, GLC, GLE, and GLS have seen reductions of Rs. 3.8 lakh to Rs. 9.6 lakh. The Maybach S-Class and GLS record drops of Rs. 19.85 lakh and Rs. 22.6 lakh respectively, while the AMG G 63 sees the highest cut of Rs. 25.65 lakh.
Note: These are indicative ex-showroom savings. Final on-road prices will vary depending on insurance, RTO charges, and location.
Planning to buy your new Mercedes Benz soon? Check your loan amount eligibility today and see how much you can borrow from Bajaj Finance.
Why choose Bajaj Mall for your car purchase
Bajaj Mall offers a wide variety of Mercedes Benz cars, from entry-level sedans to ultra-premium variants. Its easy-to-use search filters make browsing simple, letting you compare models, features, and prices at a glance.
Pairing your choice with the car loan from Bajaj Finance ensures a smooth buying journey. You can get up to 100% financing on the on-road price, so you do not have to worry about arranging a large down payment. Flexible EMI options and extended repayment tenures let you structure payments comfortably, while competitive car loan interest rates keep borrowing affordable.
For added clarity, you can use the car loan EMI calculator to check monthly instalments in advance.
The Mercedes Benz car prices after GST rate revision highlight how GST 2.0 has reshaped India’s luxury car market. With cuts ranging from Rs. 1.6 lakh on entry-level models to Rs. 25.65 lakh on AMG flagships, Mercedes-Benz has become more accessible while retaining its premium appeal.
Why wait? Check your pre-approved new car loan offer today and drive home the Mercedes Benz you have always desired.
